The bill amends the Oklahoma Parental Choice Tax Credit Act, introducing new definitions and modifying existing ones while enforcing annual credit limits. It increases the annual credit limitation based on unused credits and requires verification of claims by the Department of Human Services and the Oklahoma Health Care Authority. The application period for tax credits is adjusted for the 2026-2027 school year and beyond, shifting from February 15 to a new window of March 15 to June 15. Priority consideration is given to eligible students whose parents or guardians have a combined adjusted gross income of $150,000 or less, provided they apply within the first 60 days of the application period.

Additionally, the bill mandates that participating private schools electronically submit enrollment and tuition information by June 15 each year, with penalties for non-compliance. It changes the payment structure for credits to a full amount paid by August 30 of the school year, rather than in two installments. The bill also stipulates that credits received will not be considered taxable income and requires the Oklahoma Tax Commission to maintain transparency regarding credits claimed and awarded. An emergency clause is included for immediate implementation upon passage, with the act set to take effect on July 1, 2025.